More than 12,000 United Steelworkers (USW) union members will receive 20% base pay raises in a deal the union struck Wednesday with Cleveland-Cliffs Inc., which includes plants located in East Chicago and Burns Harbor.
The four-year contract also includes steelworkers at Cleveland-Cliffs locations in Ohio, Pennsylvania, West Virginia, Minnesota and Riverdale, Illinois.
Cleveland-Cliffs steelworkers “overwhelmingly” voted to ratify the contract, according to a news release from the USW home office in Pittsburgh.
USW International Vice President David McCall, who chaired the negotiations, said that union members won major wage and benefits improvements through “hard work and solidarity,” the release said.
“Throughout the pandemic and every other challenge that faces the industry, steelworkers perform the work essential to keep our plants running safely and productively,” he said in the release. “Thanks to the solidarity of USW members, activist and local union leaders, our work will be safer and pay more, without sacrificing the security of our jobs.”
In addition to the wage hike, Cleveland Cliffs steelworkers gain improved insurance benefits, retirees included. Increased pension benefits, more vacation time and added paid holidays are also part of the package. There are also new provisions for parental paid leave and for employees who are victims of domestic abuse.
Commenting on the Cleveland Cliffs contract in the release, USW International President Tom Conway said, “Our negotiating committee is proud that we won a fair contract that improves the standard of living for thousands of USW members and their families now and in the future.”
Conway praised Cleveland Cliffs’ intention to invest in its business.
“Cliffs’ commitment to lead the steel industry and partner with the USW includes a plan to invest $4 billion in its USW facilities during the contract term that will improve production, create sustainable jobs for future generations of steelworkers and ensure success for the company,” he said in the release.
The Burns Harbor plant — the second largest steelmaking facility in the United States — operates two blast furnaces and can produce nearly five million net tons of raw steel annually. Hot-rolled, cold-rolled and hot-dip galvanized products are the plant’s principal products.
The East Chicago (Indiana Harbor) plant is a diverse facility capable of making a full range of flat products, and specializes in the development of automotive products.
USW District 7 Director Mike Millsap was unable to be reached for comment.
Jim Masters is a freelance reporter for the Post-Tribune.